{{Rwanda and other countries in the region could soon be plunged into a fuel shortage. This follows a row between the Mombasa oil refinery and marketers that has pushed the facility into a financial crisis.}}<\/p>\n
Kenya Petroleum Refineries Ltd (KPRL) last week warned that it could soon be unable to refine petroleum products owing to severe financial constraints, a development that could affect Kenya and its landlocked neighbours including Uganda, Rwanda and Burundi.<\/p>\n
Initially, the refinery operated as a contractor. It would process crude oil brought in by marketers. <\/p>\n
However, over the years, marketers realised that it was more costly to import crude oil and last year, it turned into a merchant refinery where it would buy the crude oil, process it and sell to marketers.<\/p>\n
The financial shortfalls at the refinery were occasioned partly by a dispute between it and the oil marketers over the uplift of refined products.<\/p>\n
The refinery said marketers had boycotted its products, hurting operations and stoking a cash flow crisis.<\/p>\n
The marketers who argue that inefficiencies at the refinery had made processed oil products more costly than those imported directly have threatened to fully boycott the facility from July, a development that will be watched keenly in Kenya and neighbouring countries that rely on the refinery for petroleum stocks.<\/p>\n
Currently, oil companies are lifting only about 65,000 tonnes out of the plant\u2019s monthly refining capacity of 130,000 tonnes of oil products, partly as a result of the inefficiencies and partly of the preference among oil marketers for importing refined oil products.<\/p>\n","protected":false},"excerpt":{"rendered":"
{{Rwanda and other countries in the region could soon be plunged into a fuel shortage. This follows a row between the Mombasa oil refinery and marketers that has pushed the facility into a financial crisis.}} Kenya Petroleum Refineries Ltd (KPRL) last week warned that it could soon be unable to refine petroleum products owing to […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8],"tags":[99],"byline":[170],"hashtag":[],"class_list":["post-7779","post","type-post","status-publish","format-standard","hentry","category-business","tag-greatlakesnews","byline-igihe"],"bylines":[{"id":170,"name":"IGIHE","slug":"igihe","description":"","image":{"id":0,"url":"https:\/\/secure.gravatar.com\/avatar\/?s=96&d=mm&f=y&r=g","alt":"Default avatar","title":"Default avatar","caption":"","mime_type":"image\/jpeg","sizes":[]},"user_id":8}],"contributors":[{"id":170,"name":"IGIHE","slug":"igihe","description":"","image":{"id":0,"url":"https:\/\/secure.gravatar.com\/avatar\/?s=96&d=mm&f=y&r=g","alt":"Default avatar","title":"Default avatar","caption":"","mime_type":"image\/jpeg","sizes":[]},"user_id":8}],"featured_image":null,"_links":{"self":[{"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/posts\/7779","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/comments?post=7779"}],"version-history":[{"count":0,"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/posts\/7779\/revisions"}],"wp:attachment":[{"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/media?parent=7779"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/categories?post=7779"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/tags?post=7779"},{"taxonomy":"byline","embeddable":true,"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/byline?post=7779"},{"taxonomy":"hashtag","embeddable":true,"href":"https:\/\/new.igihe.com\/english\/wp-json\/wp\/v2\/hashtag?post=7779"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}